Radio Netherlands Worldwide

At the very least, Iceland should repay the IMF loan should the decision stand not to reimburse foreign governments. This mess should provide a clear need to define and clarify if foreign depositors qualify for domestic deposit insurance coverage, if any is available, when depositing in the banks of other countries. As the government of Iceland could not possibly cover the massive sums being deposited in their country's banks, a warning should have been issued that any lost deposits were not insured and the people of Iceland were not to be held liable for any losses. The government of Iceland should therefore, if nothing else, face litigation for gross negligence in not advising towards and providing for the rapidly growing risk that was taking place. Politics will have to determine the fate of settling the lost deposit money.